Why Do I Own So Many Individual Dividend Paying Stocks?

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In the past month, I published the list of dividend holdings I own to my subscribers. Many subscribers were amazed at the number of companies I own. I have always mentioned that having at least 30 – 40 individual positions is great for diversification purposes. This ensures that I am not overly reliant on a single company for my dividend income, in case it cuts or suspends...

I have built about 30 positions in my 401K and Roth combined. I am targeting 33 positions with approx 3% in each so that something such as an ENRON debacle would only put me at a 3% loss. My intent is to maintain somewhere between 33-40 positions.